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INVESTORS AND TRADING GLOSSARY A TO Z A synthetic dictionary of investors and financial terms may help traders, and above

all non-professional ones, to have a good knowledge of stock market vocabulary, stock market analysis, and it's conditions. Then if you want to consult a complete and full glossary of this kind, that can be made up by more than 8,000 terms, you can visit the following links: ; ; ; ; Account Executive - A stockbroker by any other name. More specifically, the term refers to a NASD-registered securities representative, but also is used generically to describe almost any salesperson. Accredited Investor - Wealthy investors in an, generally maintaining a net worth of at least $1 million or earning at least $200,000 per year, with the privilege of investing in risky private stock sales and other securities. The term itself is defined under Regulation D of the Securities Act. Accumulation - Term used by technical analysts describing a stock whose price is holding steady, thus implying that investors are willing purchase or "accumulate" shares at this price. Active Market - Term associated with stocks or other securities that trade with a relatively high measure of liquidity, typically exhibited in high volume and narrow spreads; in an active market. It is also a matter of opinion, as one man’s active market may be another’s illiquid market. Affiliate - Any person directly or indirectly holding 10% or more of a corporation's outstanding shares -- typically directors, elected officers and immediate family members. As such, they are subject to reporting stock sales and purchases and are restricted from making certain transactions in the company’s stock. Aftermarket - (1) Sometimes called "secondary market," this term refers to the trading in a security after its initial public offering. (2) The term may also be used in reference to trading after regular market hours. Agency - (1) Term used to describe a security issued by a U.S. Government agency; or (2) a stockbroker buying or selling a security without taking a financial risk (i.e. making a market). In the latter case, the broker simply Pagina 1 di 34

handles the transaction between the buyer and seller for a commission. All or None - (1) Term used to describe a trading order instructing the broker to buy or sell the entire amount of the order in one transaction or not at all; or (2) a condition where an underwriter must sell every share or unit in a security's offering or the issuing company has the right to cancel the entire offering -- in modern underwritings, this condition is seldom imposed. American Stock Exchange (AMEX) - Founded in 1921 and located in New York, it’s the third-largest U.S. stock exchange. While minimum listing requirements are similar to those of the more popular Nasdaq stock market, shares trade on the AMEX in the same "auction" manner utilized by the much larger New York Stock Exchange as opposed to Nasdaq's "market making" methods. In recent years, the AMEX exchange has lost prominence in stock listings and trading volume to both Nasdaq and the NYSE. However, the AMEX has enjoyed gains in trading "derivative" securities such as options and futures contracts. Analyst - Person or other party that purports to serve as an authority on the evaluation of a security for investment consideration. Most established brokerage firms employ analysts to review stocks and other securities for "buy," "sell" or "hold" recommendations. Many other analysts operate independent of brokerage firms and commonly publish their analysis in newsletters or other publications. However, analyst qualifications run to extremes and many amateurs or biased parties often distribute securities analysis that may be misleading or one-sided. Annual Report - Publication distributed once each year by public corporations to inform shareholders of company progress and attract potential investors. Most annual reports contain only financial highlights and general business information, but some also include fancy graphics printed on glossy paper -- reflecting a considerable expense outlay. For detailed financial reports and disclosures, all public companies whose shares are listed on the major U.S. stock exchanges are required to file a detailed annual report with the SEC via form 10-K. Annuity - Contract between an individual and an insurance company, providing lifetime income to the person on whose life the contract is based, in return for either a lump-sum or periodic payment to the insurance company. Arbitrage - Versatile little word that takes on many Pagina 2 di 34

different personalities, but essentially means the act of profiting from a difference in price. For example, arbitrage could apply to buying and selling currencies in different markets to take advantage of price disparities, or it may refer to an investor or market maker buying one stock and then selling it short to profit from the difference between bid and ask prices. (See "Spread") Arbitration - Two parties agree to settle a dispute by binding themselves to the decision of a third-party referee outside of the courts; frequently used for customer disputes against stockbrokers and their firms. Ask - The lowest price at which a dealer or market maker will sell a security. (See "Bid," "Offer," "Quote") Asset - Anything that an individual or a corporation owns. In corporate finance, assets include items of value such as cash, land, equipment and even intellectual properties, and are generally separated on a company’s balance sheet into two categories: current assets (those which can be converted into cash within a year or less) and fixed assets (those which are expected to remain fixed for longer than one year). Asset Financing - Companies borrow money secured by specific assets such as land, buildings or equipment rather than by general obligation. In some respects, this is the corporate equivalent of going to the pawnshop. Associated Person - Almost anyone who is employed, owns or directs a brokerage firm, including managers and salespersons but generally excluding clerical or administrative personnel. At the Close - Trade order specifically instructing the transaction to be filled in the last trade for a particular security on a trading day or to be canceled otherwise. At the Money - "Options speak" referring to a security and an option strike price which are the same. (See "In the Money," "Out of the Money.") At the Open - Trade order specifically instructing the transaction to be filled in the first trade for a particular security on a trading day or to be canceled otherwise. Authorized Stock - Maximum number of shares that a corporation may issue through its charter. The corporation must amend its charter or articles of incorporation, usually by vote of approval by a majority of shareholders, in order to increase or decrease this amount.

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Away from the Market . and most funds offer automatic reinvestment as a choice for investors. which allows shareholders to receive dividends in the form of new shares rather than cash.One hundredth of a percent. the vehicle for enacting this strategy in stocks is commonly known as a dividend reinvestment plan (DRIP). It works the same way for mutual funds.Key financial statement showing a corporation’s assets.Bond with a face value of less than the traditional $1. generally used to describe changes in bond yields. Average Down . debt rating of BBB or higher by Standard & Poor's or Moody's. Average Life . Balance Sheet . a limit order to sell 100 shares of Microsoft at $95 when the best or lowest offer is $89 will not be filled and is said the be "away from the market.000.Applying to most mutual funds and about 800 stocks. Balanced Fund . if you bought 100 shares at $18.Mutual fund that invests in a portfolio balanced between equity. Pagina 4 di 34 . you would have invested a total of 200 shares at an average cost of $16 per share. Basis Point . Back Office . and debt instruments. liabilities and shareholder capital.Average time before a bond is likely to be called or retired. your cost per share. Buy another 100 shares for $10 and your average would drop to $14 per share. For example. Bank Quality . For example. such as bonds. in effect you are lowering.Term describing the highest quality of creditworthiness by an issuer of bonds or other debt securities.Automatic Reinvestment . a bond yield that changes from 6. For example.11% is said to have gained 110 basis points. or averaging down. which often is less than the time until the bond matures." Baby Bond .Trade orders that cannot be executed because they are above or below the current bid or ask.When you buy the same security at different times and at sequentially lower prices.Term which refers to the administrative and clerical departments within a brokerage firm. Many investors who are confident in the long-term potential for a particular stock will consider falling prices a buying opportunity and accumulate more shares at lower prices. then 100 shares at $14.01% to 7. such as stocks.

much in the way cash in your wallet is a "bearer" certificate. bearer bonds pay interest and principal to whomever "bears" the bond itself. and are more likely to be the subject of a Hollywood cops-and-robbers script than your portfolio. Bearer Bond . blocks are transacted at a discount to the current market as an accepted cost of trading a large number of shares "away" from the market.Person or party that really owns a security or "benefits" from the ownership. Bearer bonds are rarely issued any more by U.In options. portfolio or mutual fund relative to the general market as measured by the S&P 500 stock index. rather they are the property of the party which holds physical possession of the bond certificate. (See "Bull Market") Bear Spread ." "Offer. less than 1. Beneficial Owner . Blowout ." "Quote") Big Board .0 represents less volatility than the general market. a strategy employing two contracts designed to profit from a drop in a stock’s price. Beta . Bid .Transaction involving a large number of shares or other units of a security.Highest price at which a dealer or market maker will purchase a security. As such.Popular term describing a period where general market conditions are marked by declining securities prices.Slang term referring to a party selling a large number of shares into the market without regard for the demand for shares or potential effect on the market price of Pagina 5 di 34 .Bear Market . A beta value greater than 1.S.Measurement of the historical volatility of a stock. the term refers to an agreement between the issuer and the underwriter allowing the underwriter to call off the offering if it cannot sell the minimum agreed amount of securities. Blocks may vary in size depending on the liquidity of the security traded and the number of shares in the block transaction. or beneficial owners of securities when those securities are held in "street name" in the person’s brokerage or bank account. Often however. The term is used most often to describe the real. corporations.Class of bonds which are not registered in the name of any particular owner. (See "Ask.In an underwriting of securities.0 represents greater volatility than the general market.Nickname for the New York Stock Exchange (NYSE). Best Efforts . Block .

Although used as a measure of a company’s fundamental net worth. Blue Sky . which may entitle a holder to shares of an issuer's stock.Debt security with a maturity of greater than one year. Bond Fund . The term also is frequently used with many securities quoted on the OTC Bulletin Board or the Pink Sheets. or the securities regulatory authorities of individual states. and often expressed as a per-share value when divided by the company’s number of outstanding common shares. are generally restricted from transacting in the company’s securities without proper reporting." "Corporate Bond. For example.Refers to securities registration or broker licensing. including any preferred shares." "Bearer Bond. Bond Power .Type of mutual fund whose aim is to provide stable income with minimal risk.Persons elected by a company’s shareholders to make important decisions such as electing officers of the company. Blue Chip . Directors are also considered control persons and as such.Term often used to describe a brokerage firm or other sales organization where investors are aggressively solicited over the telephone. then he or she is said the be "blue skied" in those states and may solicit sales from account holders residing therein." "Coupon Bond. Many different kinds of bonds are available to investors.Form used to transfer ownership of a bond." "Zero Coupon Bond"). (See "Baby Bond. such as convertible bonds. IPOs and secondary underwritings to designate the states in which securities may be sold. it may prove Pagina 6 di 34 . Texas and Illinois." "Bond Fund. Board of Directors . if a stock broker in the state of New York has complied with licensing or registration requirements for Florida. It may invest in preferred stocks as well as corporate. often associated with highpressure telephone sales tactics in connection with penny stocks and other risky investments. Book Value . government or municipal bonds. Generally calculated from total assets minus total liabilities. Bond creditworthiness is commonly rated by Standard and Poor's and Moody’s investor services." "Junk Bond.Financially strong.the security. a corporate IOU.Balance sheet measure of a company’s net worth. Boiler Room . Blue sky often is referred to in private placements. Bond . established company.

the underwriter will typically be repaid its bridge loan through the sale of the security's shares in the IPO.Point at which neither a profit or loss exists. Brokers are also called Registered Representatives. Branch Manager . Breadth . as it is most common to become a broker by passing the NASD Series 7 examination.Used in technical analysis of securities. for example.Regional stock exchange where shares of securities often traded on other U.The person managing a branch office of a brokerage firm and supervising the activities of its affiliated stockbrokers. If the IPO is successful. including NYSE.Comparison of issues traded on a stock exchange on a given day to the total number of issues listed for trading. The term is applied in various ways. Market trends are considered confirmed only upon reasonable breadth in the market.Slang term for a disreputable brokerage firm that employs high-pressure sales tactics to peddle risky stocks and/or routinely engage in illegal practices. Breakeven . the lead underwriter often will provide a bridge loan to the company. A company’s assets as expressed on its "books" often includes arbitrary adjustment for depreciation and does not take into account their fair market value if they were to be sold. AMEX and Nasdaq. exchanges. In options. In initial public offerings.deceptive.S. either up or down. secured by shares of the company’s stock. Broker Loan .Stockbroker. are traded. Boston Stock Exchange (BSE) . Pagina 7 di 34 . and often at a much higher price." whereas "in the money" refers to a potential profit position and "out of the money" a potential loss. it is sometimes synonymous with "at the money. Breakout . referring to a pattern where the price of a security changes significantly. from a previous range where the price held relatively steady.Temporary loan used to provide a company with a portion of working capital while arrangements for permanent financing are executed. Bridge Loan . Bucket Shop .Rate of interest charged by a brokerage firm to its customers for securities bought on margin. any person who has been duly registered by the National Association of Securities Dealers and or a state’s securities regulation authority to take customer orders or to solicit the sale of a security. Broker .

6% bonds have a call feature on March 1. on the Bulletin Board.Area in a brokerage office where cashiering activity takes place. or (2) a contract to purchase a specific security at a specified price by a certain date.A person or institution is forced to buy a security because of an inability to deliver the shares or make "good delivery" from a previous sale of said shares.Any request for a broker or other fiduciary to buy a security on behalf of a client. typically corporate and municipal bonds. lists some 7.Security called by the issuer from a client's Pagina 8 di 34 . (See "Bear Market") Bull Spread . Call . For example. Called Away . stock exchanges. therefore. (See "Options") Call Feature . Buy Recommendation . Bulletin Board. Callable .Popular term describing a period where general market conditions are marked by rising securities prices. a National Association of Securities Dealers quotation service for "unlisted securities" not traded "over the counter" and not on any of the three major U.In options. The OTCBB. Bull Market .(1) Action where a company redeems a security prior to its maturity date.Feature allowing the issuer to "call" or repurchase certain securities.Analysts or other financial editors publish a recommendation to purchase a security. (See "Short Squeeze") Buy Order . some with little or no operating business. a strategy employing two contracts designed to profit from an increase in a stock’s price.Price at which a "callable" security may be repurchased.S. at 105. Cage . Buy In .including holding customer orders until the firm can transact at a price other than the one it reported to the investor. at a specified price and/or point in time. Bulletin Board .Security containing a call feature.More correctly called the NASD OTC Bulletin Board (OTCBB).000 securities of mostly small corporations. XYZ Corp. 1999. Buy ins are often associated with short sellers that choose or are forced to buy back underlying shares due to margin requirements or other circumstances. Call Price .

Calculated as follows: earnings after interest and taxes. bonds and retained earnings.Amount a security's original purchase price exceeds its par value. Also refers to a company’s "market capitalization. less preferred dividend if applicable. preferred stock.Total value of a company’s capital investment.account. These factors vary according to the type of industry and scale of production. A corporation with a $1 million tax-loss carry forward may save as much as $340. Individuals who incur a loss from the sale of a security are credited with a capital loss that may be used to offset capital gains for purposes of calculating income taxes. which varies in turn with seasonality and the rise and fall of sales.All shares.Measurement of cash a company gained or lost during an accounting period and adjusted for any previous accounting for accruals and other non-cash transactions. Capital . Capital Loss . The cash conversion cycle is funded by working capital. common and preferred." or shares outstanding multiplied by the current share price.Order revoking a previous order to execute a security transaction.Accounting method where all transactions are posted for the amount of cash exchanged instead of accruing income and expenses.Gain or profit from the sale of assets or securities. authorized and issued by a company.Asset created from the value of tax losses incurred in previous years and available to be used in future periods to offset taxable income. Capital Surplus . with depreciation Pagina 9 di 34 . Capital Stock .Loss on capital invested. (See "Accrual Accounting") Cash Conversion Cycle . finished goods into sales.000 in corporate income taxes by using the loss in future periods.Length of time required for a business to convert raw materials into finished goods. Cancel .Accumulated money or goods used to produce income. Capital Gain . (See "Working Capital") Cash Flow . and accounts receivable into cash. Capitalization . Cash Basis Accounting . including the amount raised from sale of common stock. Carry Forward .

Document issued by a corporation in evidence of ownership or "title" to a security. Pagina 10 di 34 .Time when a marketplace ceases its regular trading activities. Churning . NASDAQ and other major U.S. Chicago Board Options Exchange (CBOE) .Largest exchange for trading of futures contracts.Brokerage firm with the fiduciary responsibility to transfer and receive all securities held or transacted on its own or by corresponding firms. Often.Last price quoted for a security at the close of the market.added back. Chicago Board of Trade (CBOT) . stock exchanges close regular trading session at 4:00 pm Eastern time. Close . essentially acts as a holding corporation for the purpose of investing in other public corporations. best known for grains and metals futures.Illegal or unethical practice by a broker or other fiduciary to cause excessive transactions in a client’s account to benefit the broker or fiduciary through increased transaction fees. The New York Stock Exchange.S. Closely Held .Mutual fund that does not accept new investments or withdrawals after its initial formation.Second largest commodities exchange.First and largest organized marketplace for trading specific put and call options. many small and mid-sized brokerages and financial services companies use a clearing firm which acts as the fiduciary for a client’s account holdings and transfers while the brokerage firm principally acts as the sales and/or advisory agent. Closing Quote . best known for futures in agricultural commodities.Term used to describe when most of the shares of a company’s stock are held by a relatively small group of investors. Clearing Firm . parent organization of CBOE. The typical closedend fund trades on a major U. Certificate . Closed-End Fund . It is possible for a company to report an operating profit while incurring a loss of cash for the same period as well as reporting an operating loss while incurring an increase in cash flow. stock exchange and is bought and sold in the secondary market in the manner of corporate shares. Chicago Mercantile Exchange .

Common Stock Equity . Compliance . a 62% increase.Commercial Paper .Illegal act of combining securities or other assets of a client’s account with those of the brokerage or fiduciary in order to boost the fiduciary's financial status. Convertible . which may mature in as little as one day. including warrants. to be used when recording all buy and sell orders. Committee on Uniform Securities Identification Procedures (CUSIP) . Also. Counted as common stock when determining a corporation’s value per share on a fullydiluted basis. Commingling . Essentially the same as shareholder’s equity except in cases where a significant amount of preferred shares is outstanding.Any security which may be converted into units Pagina 11 di 34 ." Consumer Price Index (CPI) . companies that keep up with required SEC filings are said to be "in compliance.Any person employed by a company and in position to control the company’s actions. government index of prices for a variety of consumer goods and a widely followed inflation measure for inflation. such as a CEO. Examples of a commodity include metals.Securities which may be convertible into common stock in the future.Any bulk good traded on an commodity exchange or in the cash. Many mutual funds and money market funds invest in these notes.U. Common Stock . Control Person . Common Stock Equivalent .S. to achieve interest on short-term.Regular shares of ownership issued by corporations. stood at approximately 162 in March 1998. or spot market is referred to as a commodity. stock options and convertible debentures. adjusted to 100 in 1983. grains and meats.Refers to the department in a brokerage firm where a watchful eye is supposed to be maintained on all activities regulated by government and self-regulatory organizations. Example: The CPI.Group that assigns identification numbers and codes to all securities. Chairman of the Board or a large shareholder.Total assets minus total liabilities divided by a corporation's common shares outstanding.Short-term corporate debt actively traded by institutions. liquid investments and cash equivalents. Commodity .

Crossed Market . During this period. shares will not trade until market makers or exchange specialists adjust bids and asks accordingly. Cover . the company's relations with investors are greatly restricted.Act of purchasing stocks. (See "Covered Option") Covered Option .Bond bearing a coupon or paying a periodic distribution of interest. Corporation . futures contracts or Forex positions to offset a short position or shorting stocks. Often associated with preferred shares and some debentures.Amount of interest paid periodically by the issuer of a bond or other interest-bearing security. mutual funds and other investors to increase the current yield of stocks held and to take advantage of or hedge against unfavorable price declines of the underlying shares. This strategy is commonly used by individuals. conversion usually is specified in common shares.Current price of an asset or security Pagina 12 di 34 . election of directors and officers by vote of shareholders and taxation of the corporation separate to that of the owners.Option contract backed by the shares underlying the option. covered writers risk only giving up future potential profits without taking additional monetary risks.Any debt or debenture issued by a corporation.20-day period after a company files its prospectus with the SEC. Corporate Bond .Form of business organization characterized by a state charter or articles of incorporation enabling certain rights separate from its owners.of another security. Most bonds are considered coupon bonds. Coupon . but before its initial public offering. Current Market Value . issuance of stock in evidence of ownership. Cumulative Preferred Stock . Common features of a corporation include limited liability of the owners.Preferred shares whose dividends accumulate during periods when they are not paid or distributed to shareholders. A relatively conservative investment strategy. Coupon Bond .Orders for buying and selling stocks are imbalanced to the extent that the highest bid is greater than the lowest offer. (See "Fully Diluted") Cooling-off Period . futures or Forex position to offset a long position.

Current assets divided by current liabilities. Current Liabilities . Assets on the balance sheet are reported at book value or at their original acquisition cost. Custodian . Pagina 13 di 34 . municipality or government. if a bond or other fixed-income security were purchased at current market prices. may appreciate in fair market potential and not reflect the current market value if sold. Debt Security Debt Security . Also used to describe discount stock brokerages which charge commissions far less than what were commonly charged for similar trades only a few years ago.Any significant discount from the price of a security. Fundamental analysis looks at this ratio to determine if a company may have problems meeting its shortterm obligations. Default Default . Current Yield . such as real estate. for a current yield of 8. Current Assets .75/105=8.Assets which normally are converted into cash in 12 months or less. Deep Discount Deep Discount . typically including short-term borrowings and the portion of long-term borrowings due in the next 12 months as well as accounts payable and rent due.0 and generally seen as a measure of short-term financial weakness. the ratio is less than 1. less any depreciation or writedown.Evidence of debt.75% and may be purchased at the current market price of 105. including accounts receivable and liquid investments such as stocks and bonds. often used to describe the value of a portfolio of securities held in a customer's account.3% (8. Conversely. such as a bond.0 is seen as a measure of short-term financial strength.Current rate of interest or yield.3). Example: XYZ Corp.Liabilities or debts which come due in 12 months or less. a ratio greater then 1. If the current liabilities exceed current assets.if it were to be sold. calculated by taking the coupon rate and dividing by the security price. Current Ratio . some assets. However.Occurs when an issuer of a debt obligation fails to make a required payment of interest or principal. often done in connection with accounts held for the benefit of minors or persons unable to manage their own investments. Many of these deep-discount firms apply their lowest commissions to on-line trades made via the Internet. bonds pay a coupon rate of 8.Person or institution acting under authority to direct the investment activities of another party’s account. issued by a corporation.

Delivery Delivery .Reduction in earnings per share of a common stock that occurs when a company issues additional shares. Director . The DTC plays a vital role in maintaining the accuracy and safe transfer of securities.Person serving on a corporation's board of directors. Deficiency Letter Deficiency Letter .Self-regulating organization which serves as a central clearinghouse between transfer agents representing issuers of securities and brokerage firms. Fiscal Year . Disclosure . it is not unusual for a Pagina 14 di 34 .Difference between the price paid for a security and the security's face value. While most companies' fiscal years coincide with the calendar year.Defensive Strategy Defensive Strategy . Discount .Act of providing appropriate information about a corporation's financial status and other significant operating activity. individual investors and other fiduciaries representing the beneficial owners of securities. not unlike the Federal Reserve in clearing banking transactions. Defensive stocks are generally considered to be established companies in industries relatively unaffected by business cycles.One-year period designated by a company as its annual accounting period. Dilution Dilution . often occurs with warrants and options exercising. Delivery Against Payment Delivery Against Payment . Depreciation Depreciation .Act of transferring security ownership or title from a seller to a buyer.Investment method where an investor seeks to minimize the risk of losing principal. Depository Trust Company (DTC) Depository Trust Company (DTC) . Directors are considered control persons or insiders for the purpose of fiduciary responsibility and their trading in the securities of the company whose board they serve upon is regulated.SEC notification to an issuer that a prospectus or other contemplated filing needs to be modified before being accepted or made "effective" by the agency.Accounting concept for a decline in the value of an asset because of use or obsolescence.When payment and delivery of a security transact simultaneously.

Attempting to buy or sell securities ahead of an anticipated reaction to news or publicity. Floating . control persons.NASD rule limiting brokers and market makers from marking up or charging in excess of 5% commission on most stock transactions. there are many exceptions to the rule.Number of a company's shares that are outstanding and available for trading by the public. including all securities that could be converted into common Pagina 15 di 34 . Floor Trader . Floor Broker .Member of an exchange and employee of a member firm who executes orders on the exchange floor for clients. NASDAQ is an electronic stock market and thus. However.Term often used by brokers to describe the distribution of a new or secondary issue through a public offering. crazy "pits" you see when scenes of stock markets are displayed on TV or film. Flat . Once quite common.Member of an exchange who trades on the floor of that exchange for his or her own account. to establish arbitrary dates within a calendar year to begin and end its fiscal year. (3) a term stockbrokers and market makers often use when they no longer hold a position in a particular security or account. Front-end Load . and individuals holding shares restricted under Rule 144. most are no-load or have back-end loads that decline as shares are held longer. (2) describes a market where the price of a stock and/or its volume have not changed significantly over a period of time. Front Running . the guys in the noisy. Fully Diluted .Illegal act of rapid buying and selling of a security by a broker without putting up funds for the purchase. Float .Sales charge that is immediately deducted from the purchase price of mutual fund shares.Number of common shares outstanding. has no floor brokers. also describes illegal withholding of part of a new securities offering by an underwriter for the purpose of selling it later at a higher price. affiliates. Freeriding . generally represents shares outstanding less shares restricted to insiders.(1) Bond or other fixed-income security traded without accounting for accrued interest. few fund companies still charge front-end loads. Five Percent Rule .

Fidelity.Order to buy or sell a security at a limit for an indefinite period of time." Stocks often gap up or down on news released between trading sessions. Examples include Dreyfus. losses and management responsibilities. etc. If a security is sold and the underlying certificate or other evidence of ownership is not properly transferred. if XYZ Corp. Rowe Price. For example.S. often used with limit orders for illiquid securities.Group of mutual funds marketed and/or managed under a common brand name or management company. T. General Partnership . etc.Form of corporation where all owners share in the profits. Gap . (See "Limited Partnership") Ginnie Mae . General Obligation Bond . then it is said that "XYZ gapped up 3 5/8 at the open. Kemper. in relation to its share price. Futures . Good Delivery . Good till Cancelled Order . government corporation that underwrites. a futures contract is an agreement to buy or sell a specific amount at a particular price in a specific future month. such as warrants.Refers to the successful transfer of a security pursuant to a transaction between a buyer and seller. Fund Family . Fundamental Analysis .Nickname for the Government National Mortgage Association (GNMA) and securities it issues. or invests.shares. in real estate loans and sells mortgage-backed securities to investors to raise monies to fund home and business loans. opened on Tuesday at 102 5/8 after closing Monday at 99.Derivative security based on the future price of another security or commodity.Municipal bond secured by the general taxing authority of the issuing municipality rather than from revenues of a specific project or taxing authority.Difference between a stock's price at the opening of a trading day compared to the previous trading day’s closing price. Fundamental analysis of a stock may consider a company’s earnings.Investment research method based on benchmark indicators of a stock’s value or potential value as measured by the financial evaluation of the stock’s underlying corporation. earnings growth. GNMA is a whollyowned U. book value. cash flow. Pagina 16 di 34 . convertible bonds and preferred stock. then a good delivery has not occurred. stock options. Franklin/Templeton.

a 'hedge fund'. Investment in 'hedge funds' are generally illiquid.Slang term for any pundit. Aggressively managed portfolio can be referred to as a 'hedge fund'. in other words one would 'hedge' the investment. For example.Mutual fund that invests primarily in shares of growth stocks toward a goal of capital appreciation is referred to as a growth fund. The investment fund may 'hedge' a particular investment strategy in a 'hedge fund'. Haircut .Private investment fund organized to pursue an investment strategy involving uniquely risky investments such as short selling and naked options writing . selling call options. Guru .Generic term for any stock that appeals to investors seeking appreciation of capital rather than for current income or asset preservation. thus offering a 'hedge' or insurance for investors who have significant exposure to declines from their investment portfolios is referred to as a 'hedge fund'. a price-chart pattern resembling the head-and-shoulders outline of a person. companies ranging from Microsoft to small upstarts are often called growth stocks. Hedge . short selling or employing other strategies designed to profit from market downturns. Hedge Fund . analyst or financial journalist who regularly publishes opinions.Any strategy which involves investing or speculating on a security in contrast to one’s primary objective in order to provide a degree of insurance against being wrong. predictions and recommendations about securities or other stock market topics. an investor who is heavily invested in common stocks for longterm capital appreciation may want to 'hedge' his investments against a downturn in the overall market by purchasing put options. In spite of the wide range of stocks that sometimes are called "growth" stocks. A uniquely risky investment may indicate the groups attempt to 'hedge' such a risk. Accordingly. most investors exclude any stocks that pay significant dividends or are in highly regulated industries such as utilities.In technical securities analysis. 'Hedge funds' are generally unregulated. 'Hedge funds' have been referred to as mutual funds for the Pagina 17 di 34 . Growth Stock .Trader’s term for a discount of the price of a security.Growth Fund . in the 'hedge fund'. Head and Shoulders . Also may refer to a private or public investment fund or 'hedge fund' whose objective to invest in securities that would potentially profit from a general decline in the stock market.

companies.Refers to an organization such as a pension fund. often before going public. such as Pepsi and Geico.Organization such as a pension fund or mutual fund that trades large volumes of securities.Bid or asked quotes between dealers trading inventories. Hit the Bid . mutual fund or investment trust that invests on behalf of other parties.super rich. Since most institutions hold shares for relatively long time periods and uphold a considerable fiduciary responsibility to invest conservatively. For example.Person such as a corporate officer or director with access to privileged company information. INSTINET . Institution . is a holding company which owns sizeable numbers of shares in many well-known companies. 'Hedge funds' are typically open to a limited range of professional investors.Privileged information available only to corporate officers that must be kept confidential until made public. Investment Banker . Holding Company .Corporation whose business strategy is to own interests in other. sometimes includes shareholders owning 10% or more of a company's stock.Trader's slang for any quantity of security owned at a particular point in time. but has no significant operating business of its own. ' Hedge funds' dominate certain specialty markets. distinguished from the retail quotes reflect the prices that customers pay to "Retail Market") Insider . Inside Information . chaired by Warren Buffet. Inventory . Insiders are prohibited by law from trading on this information prior to making it available to the general public. Inside Market for their own market.A "fourth stock market" allowing members to display bid and ask quotes and bypass brokers in securities transactions. regardless of price.Trader's term used when a seller places market orders with the intention of selling to the highest bidder. (See . Berkshire Hathaway.Person or institution that provides earlystage financing for companies. Institutional Investor . often unrelated. Pagina 18 di 34 . where dealers. many analysts look at the percentage of a company’s stock that is held by institutions as a measure of market confidence.

Service of the Nasdaq stock market that allows Pagina 19 di 34 .Service of the Nasdaq stock market that displays current bid and ask quotes plus.Low-quality junk bonds. Issued Stock . Level Three . usually purchased for risk-oriented investors because of their high yields.Basic service of the Nasdaq stock market that displays current bid and ask quotes on many over-the-counter stocks.Investment Company .Corporation or municipality offering its securities for sale or the creator of an option. dollars.A type of exchange-traded fund that invests the majority of its assets in Japanese equities that trade on local stock exchanges. Junior Issue .S. because the change in the exchange rate between the yen and the dollar must be taken into consideration. the bids and askeds quotes from all market makers in a particular stock. Level Two . Level One . not a binding contract to do so.e. with credit ratings of BBB. Investment Grade . Junk Bonds .High-quality bonds. bbb or higher by Standard & Poor’s or Moody’s investor services. The performance of Japan ETFs is thus dependent on two things: the performance of the underlying equities and the effect of changing yen into dollars. with credit ratings of BBB. Legal Opinion . principal. Issuer . mutual funds). bbb or lower by Standard & Poor's or Moody’s investor services or better know as Junk Bonds.Opinion by an attorney concerning the legal compliance of a security. The performance of Japan ETFs does not correlate to the performance of the underlying index when measured in U.Precise term for a mutual fund. suitable for conservative investment accounts. both open-end and closed-end. interest. etc. Letter of Intent .Stock that has been sold to the public.Generally speaking. Japan ETFs . any issue that ranks lower in claim to another issue in terms of dividends.Written agreement between two parties stating an understanding to conduct business but. (See "Mutual Fund") Investment Company Act of 1940 .Federal law regulating investment companies (i.

limited and general partners.Relative measure of how easily a security or other asset may be converted into cash. preferred shares. the more liquid the stock. General partners manage the partnership and limited partners are passive owners.Term referring to stocks listed on one of the three major U. the act of controlling more than one unit of a security through another device. Liquidity . for the purpose of enhancing returns or value. American or Nasdaq. Leveraged Buyout . most limited partnerships are not actively bought and sold in secondary markets and are extremely illiquid investments. (See "General Partnership") Liquid Asset .In an investment context. In the 1980’s limited partnership interests were commonly sold to investors for their tax advantages and potential for fixed income benefits.Order to execute a trade at a specific price is referred to as a limit order. all income or losses of the partnership are passed on to the partners based on each partner's percentage ownership. etc. Leverage .A form of incorporation involving ownership by two classes of investors. Listed Stock . stock exchanges: New York.Any debt or monies owed by a corporation including but. warrants.Asset that may be easily turned into cash including but. the higher the volume. Limit Order . not limited to accounts payable.Act purchasing assets or entire corporations through the use of debt. In a corporate context. Companies whose shares are quoted on the OTC Bulletin Board or the National Quotation Bureau’s "Pink Sheets" are Pagina 20 di 34 . In either case.a market maker or registered broker-dealer to enter a bid or ask on the electronic trading system. The proceeds from debt borrowings allow a shareholder or a group owning a minority stake in a company the means of acquiring enough stock from other shareholders to gain control of the corporation. not limited to most stocks. liquidity is often associated with a security’s average daily trading volume.. A sell limit order can only be executed at the limit order price or higher. bonds. bank lines of credit and bond issuances. However. Liability . A buy limit order can only be executed at the limit order price or lower. short-term certificates and money market funds. options.S. such as buying stocks on margin. Limited Partnership . the relation of debt to equity in a firm's financial capital structure. A limit order can help the trader avoid buying or selling a stock at a higher or lower price than they wanted to. In stocks.

Also describes the act of creating liquidity in a security or "making a market. Load Fund .Value of a company as measured by the total dollar value of its common shares outstanding. is often used to describe just about anything associated with the stock market or investing in securities. or (2) amount a customer deposits with a broker when borrowing from the broker to purchase securities. Management Company . The amount of margin an investor can use is determined by the value of cash and certain qualifying securities in the client’s account as regulated by Federal securities laws.e.Company managing a mutual fund or other type of investment trust. often used to ensure the fastest transaction execution but.Place where products or services are bought and sold or a group of people engaging in such activities but. Margin Call . Market Order . stock price multiplied by number of shares outstanding to determine. often cited in securities fraud cases.Demand to deposit additional cash and securities into a client’s account to satisfy minimum margin requirements set by Federal regulation. Trading on margin allows investors to control or leverage a greater amount of securities with the same cash and thus potentially increase profits. carries the risk of buying or selling at a price unknown to the client placing the order. market capitalization.Act of artificially influencing the price of a security by a person or group. Manipulation . Market Capitalization (Cap) .Mutual fund that deducts a sales charge or "load" from the net asset value of shareholder investments." the activity of buying and selling securities from a broker dealer’s account in order to facilitate a market for others. i. (See "Markup") Market .Amount by which a dealer decreases the price of a security it pays to a client before selling it to another client. Pagina 21 di 34 . Markdown .Order to buy or sell a security at the best available price. Margin . Markdowns are most often associated with stocks that trade over-the-counter.considered "unlisted" stocks.(1) Difference between the revenues received by a company for its products and services and the cost of producing and selling them (often called "profit margin").

Net Capital Requirement Net Capital Requirement . or the value of an asset if it were to be sold. (See "Markdown") Matched Order . National Quotation Bureau National Quotation Bureau Independent company best known for its publication of the NQB Pink Sheets. the Nasdaq Stock Market. Net Asset Value (NAV) Net Asset Value (NAV) .National Association of Securities Dealers Automated Quotations.Amount of a company's income Pagina 22 di 34 . NASDAQ.Securities Exchange Commission requirement that broker-dealers in securities maintain a maximum 15 to 1 ratio of indebtedness to cash and liquid assets. (See "Painting the Tape") Maturity Date . Markups are most often associated with stocks that trade over-thecounter.Price of a security in the stock. the Place where traders make money NASDAQ NASDAQ . Once an electronic quotation service for OTC Stocks and expressed by its acronym.Expert day and swing trader.Difference between a company's total assets and total liabilities as reported in its financial statements. Nasdaq Stock Market is owned and operated by the National Association of Securities Dealers (NASD). the stock exchange known today as NASDAQ or the NASDAQ Stock Market operates as both a quotation service and a stock exchange permitting dealers to trade its listed securities. based on the closing market price for each security in the fund's portfolio.Illegal practice by one or more parties conspiring to enter identical buy and sell orders to create the appearance of trading. bond or derivative market.Date on which a bond or other debt security expires and any outstanding principal is paid to bond holders.Amount which a dealer increases the price of a security it owns before selling it to a client. Net Assets Net Assets . McBillion .Value of a mutual fund share calculated by deducting the fund's liabilities from the portfolio's total assets and dividing this amount by the number of shares outstanding. The Pink Sheets report broker dealers’ bids and asks for unlisted securities. Markup . Net Earnings Net Earnings . NAV is calculated once a day.Market Price .

no-load funds have become one of the most popular ways to invest. Odd Lot Odd Lot . (See "Initial Public Offering. New York Mercantile Exchange New York Mercantile Exchange Exchange for futures and commodities contracts. Virtually unknown some 20 years ago.S.Generic term often used to describe the "net assets" of a person. Offer ." it is simply an offer to sell a security. No-Load Fund No-Load Fund .000 shares of XYZ shares transacted in the first trade of that day. Shares of stocks listed on the NYSE trade in an auction-style environment on the exchange floor. also called Net Income.Refers to the start of a trading day or the initial trade of a particular security at the start of a trading day. Open . Offering Date . typically via an initial or secondary public offering. or Net Loss if the total is a negative. account or security not domiciled in the United States.000 shares at the open" means 100.Securities trade made for less than a normal prescribed lot. corporation or other organization. Trading in each listed stock is managed by a person called a "specialist" who is responsible for maintaining a balanced market in a particular security. Open-End Fund . order for any amount other than a lot rounded to the nearest 100 shares.Total number of unexercised contracts for a Pagina 23 di 34 .Term used for any investor." "Secondary Offering") Offshore . Some securities offerings are targeted only to offshore investors under special registration or exemptions. Most mutual funds are open-end funds.Also called the "ask.Date on which a new security is offered to the public. Net Profit.Oldest and largest stock exchange in the U. New York Stock Exchange (NYSE) New York Stock Exchange (NYSE) .Mutual fund accepting new investments or withdrawals. Net Worth Net Worth . "XYZ traded 100.after all expenses have been met. (See "Closed-End Fund") Open Interest .Mutual fund that does not deduct sales charges from the net asset value of shares purchased by investors. Many brokers charge an additional fee or limit the types of trading orders they will accept for an odd lot.

Nominal or face value of a security. popularly refers to an issue failing to meet listing requirements of the New York or American stock exchanges and quoted only on the OTC Bulletin Board or the NQB Pink Sheets. Out of the Money Out of the Money . Oversold Oversold .Entire group of options contracts associated with a particular underlying security. today it is usually an assigned amount Pagina 24 di 34 .Instruction for a broker or dealer to buy or sell a security or commodity. (See "At the Money. printed on paper. Paper Paper . Although par value once represented a company's original investment behind each share of stock.Self-regulatory agency which sets the strike prices.General term used to describe a company's stock whose current price does not appear to be justified by a fundamental analysis of the company.Slang term referring to any quantity of a security. expiration dates and ticker symbols for listed stock options and reports options prices. issued stock minus treasury stock (stock reacquired by the issuing company). Over The Counter (OTC) Over The Counter (OTC) . Order Order .particular option or futures contract. likely derived from stock certificates which are. Overbought Overbought . of course. Overvalued Overvalued .Contract to buy (call) or sell (put) a certain number of shares of a security (usually a stock) at a specified price for a specified period of time.Analyst's opinion that more and stronger selling has occurred in a market or a specific stock than its fundamentals normally would justify. Options Prices Reporting Authority (OPRA) . Option . Option Series . Par Par .Stock in the hands of the public." "In the Money") Outstanding Stock Outstanding Stock .Any security not listed or traded on an organized exchange.Term used in options trading to describe a client's position that would result in a loss if exercised at a particular point in time.Analyst's opinion that more and stronger buying has occurred in a market or a specific stock than its fundamentals normally would justify.

Plus Tick . which consists of the 100 Pagina 25 di 34 . This security offers broad exposure to the tech sector by tracking the Nasdaq 100 Index. Position . For example. Once heavily used by investors and brokers trading unlisted stocks.Rights given to an investor or group of investors to register previously unregistered securities in the event of another registration by the issuing firm.(typically one-tenth of a cent per share or $0. institution or mutual fund. Philadelphia Stock Exchange .Refers to an investor's long or short holdings of a particular security. group.Publication of the National Quotation Bureau reporting bid and ask prices quoted by market makers for unlisted stocks.000 shares are actually delivered. same as "Up Tick. this is the ticker symbol for the Nasdaq 100 Trust." Piggyback . The Securities and Exchange Commission in effect. were to be delivered but. Penny stocks by any definition should always be considered extremely speculative investments and not suitable for conservative accounts." Portfolio .General term most often referring to small or "micro-capitalization" stocks trading for less than $1 a share. The use of par is more relevant in bonds and preferred stock. as the interest paid on a bond and the dividends paid on preferred shares are normally based on a percentage of par. which is an ETF that trades on the Nasdaq. defines penny stocks through its regulations of broker sales practices where brokers are restricted from soliciting most unlisted stocks trading for less than $5 a share.Regional stock exchange where a limited number of securities are bought and sold in the "third market.Incomplete delivery of securities. although heavy promotion may lift prices temporarily higher. the Pink Sheets have been largely replaced by the OTC Bulletin Board and its popular real-time electronic dealer quotation service.000 shares of XYZ Corp. a partial delivery has occurred if 100.Generic term describing the collective securities holdings of an individual. Partial Delivery .Term describing a trade in a security that was executed at a higher price than the previous trade.001) used to compute the dollar value of common shares on the balance sheet. Pink Sheets .Formerly the QQQ. only 50. Penny Stock . QQQQ .

While commonly used under ethical circumstances. Registered Representative . Most companies file in January.Price at which the last sale and purchase of a particular security or commodity occurred often referred to as a Stock Quote for stocks on the stock market.Process where securities that are to be sold to the public are reviewed by the Securities and Exchange Commission. Registered Investment Advisor (RIA) . Included in earnings reports are items such as net income.A quarterly filing made by public companies to report their performance. Regulation D generally restricts such sales to qualified institutions and individuals who can demonstrate a high tolerance for risk. Regulation D .A stockbroker by any other name. a stockbroker earns a fee or commission from transactions in a client’s account. earnings per share. July and October. Red Herring .Preliminary prospectus which has not been approved by the Securities and Exchange Commission.Body of regulation under the Securities Act of 1933 allowing corporations to sell their own securities in a public offering without the assistance of a brokerage firm or underwriter.largest and most actively traded non-financial stocks on the Nasdaq. These reports follow the end of each quarter. By contrast. It is also known as "cubes" or the "quadruple-Qs". Quote . RIAs and brokers are not permitted to charge both a management fee and a transaction fee. The term comes from the National Association of Securities Dealers. Quarterly Earnings Report . Regulation A . April.Body of regulation under the Securities Act of 1933 pertaining to the issuance or sale of private and unregistered securities. earnings from continuing operations and net sales.Person or firm registered with the SEC as a professional advisor.Exemption where corporations can issue unregistered securities to qualified foreign investors and foreign institutions. abuse of Regulation S has been common in penny stock fraud due to the preference exemption from restrictions on secondary trading that shares issued under Regulation S Pagina 26 di 34 . Regulation S . which certifies and regulates brokers and refers to them as registered securities representatives. Most RIAs manage a client’s portfolio for a fee based on the value and/or performance of the portfolio. Registration .

S. In stocks.Dollar amount charged to or deducted from an investment for payment of sales commissions to a broker.Shares of stock which are restricted from trading in the secondary market.Act of purchasing additional shares in a mutual fund or stock that pays dividends or capital gains instead of receiving such distributions in cash. expressed as a percentage.Figurative term referring to membership in the New York or American stock exchanges or one of the various commodities exchanges. Sales Charge . government-guaranteed student loans.Termination. the seller is the issuing corporation. (See "Wholesale") Retained Earnings . In bonds. Seat . Shares issued under Regulation S may be freely sold or traded after 40 days of their issuance. Secondary Offering . recorded on a company’s balance sheet and reflect an increase in shareholder equity. thus reducing the number of shares outstanding. Return On Equity (ROE) . Schedule 13D .are afforded. companies sometimes buy back shares outstanding.Amount of earnings a company generates from its reinvested earnings. sales charges are normally deducted from the net asset value of shares purchased. sales charges are reflected in reduced proceeds to the issuer. In offerings. then simply retire or cancel those shares. Sallie Mae .Public sale of previously issued securities held by large investors. Restricted Stock . (See "Initial Public Offering.Student Loan Marketing Agency." Pagina 27 di 34 . In load mutual funds. usually institutions or corporations. recall or elimination of a security.Trade in which a client buys or sells an over-thecounter stock through a broker-dealer.Portion of corporate earnings not distributed to shareholders in the form of a dividend or otherwise. net income divided by stockholders' equity. Reinvestment . Retail . Retire .Report filed by insiders or control persons desirous of selling shares in a public corporation. the term often refers to repayment of the bondholders’ principal and interest. Once repaid. a quasigovernment organization which issues securities to fund the U. the bonds are then retired and no longer trade as securities. In a new issue or primary offering.

Typically. is referred to as a 'sell order'.Any request for a broker or other fiduciary to sell a security on behalf of a client. created and empowered by the Securities act of 1933 and the Securities Exchange Act of 1934.A futures contract traded that uses a market index as the underlying instrument. debt or equity issued by a corporation to investors for capital or other consideration and providing evidence of ownership or claim to said instrument.Federal law. Securities Investors Protection Corporation (SIPC) Government-established insurance agency which insures investors' accounts against loss from bankruptcy by a brokerage firm. subsequent to the Securities Act of 1933.A situation in which an analyst or investor Pagina 28 di 34 . the value of the contract is $500 times the underlying index. insure against loss from investment risk.S. however. Securities and Exchange Commission (SEC) . Stock Index Futures . 'sell order' price. government. A 'sell order' on a short sale accompanied or bracketed by a buy stop order above the entry price of the sell order and a buy limit order below the entry price of the sell order is referred to as a bracketed 'sell order'. responsible for enforcement of federal securities laws in the United States. The Act primarily requires the full and fair disclosure of all material information about the issuance of new securities."Public Offering") Securities Act of 1933 . Stock Picking . The delivery mechanism is usually cash settlement. which represent a piece of the corporation`s assets and earnings.Agency of the U. A 'sell order' is normally a limit order to sell a security at a specific. further regulating the securities industry and creating the Securities and Exchange Commission to enforce securities laws. Securities Exchange Act of 1934 . Self-Regulatory Organization .Any instrument. Sell Order . SIPC does not. such as the National Association of Securities Dealers and the American and New York stock exchanges. Security .Ownership of a corporation indicated by shares.Organization which regulates the activities of its members. Stock .Principal body of Federal law regulating the securities industry.

the put has a low strike price and the call has a higher strike price.Stock ownership in which shares are registered to a brokerage or other financial institution and held. i.The purchase or sale of an equivalent number of puts and calls on an underlying stock with the same expira tion date but a different exercise price. The order becomes a "buy at the market" order if the market is at or above to the price of the stop order. Also known as reversal stop .After a trend. Strips . Pagina 29 di 34 . The position can be either long or short and will depend on the analyst or investor's outlook for the particular stock's price. Straddle .. Stop and Reverse (SAR) .The price per unit at which the holder of an option may receive or deliver the underlying unit.A balance point between a set of conflicting forces. also known as the exercise price . Stops . Usually. Strike Price .The purchase or sale of an equivalent number of puts and calls on an underlying stock with the same exer cise price and expiration date. Stop-Running . is a signal to reverse the current trading position.An option strategy in which an investor buys one call and two puts on the same underlying security with the same exercise price and expiration date.A stop that.uses a systematic form of analysis to conclude that a particular stock will make a good investment and. Stock picking can be a very difficult process because there is never a foolproof way to determine what a stock's price will do in the future. Sell-stop orders become "Sell at the market" orders if the market trades at or below the price of the stop order. Sell stops are orders that are placed with a predetermined price below the current price. when hit. from long to short. Street Name . the market will enter into a trading range and have a tendency to trade to levels where stop-loss orders have been placed.e. should be added to his or her portfolio. therefore.Buy stops are orders that are placed at a predetermined price over the current price of the market. Strangle . Strange Attractor . Stop Loss .The risk management technique in which the trade is liquidated to halt any further decline in value.

Struck . two or three letters to identify most securities while Nasdaq and the OTC Bulletin Board use four character base symbols. Support . Swings .On a chart. Swing Chart . (See "Up Tick.S. Sum of Squared Residuals (SSR) .The sale of one security to purchase another with similar features. An analytical method that merges technical and fundamental analysis with an emphasis on intermarket analysis. Synthetic Securities . Student . the higher will be the R-squared. Support Line .Security created by buying and writing a combination of options that imitate the risk and profit profile of a security. Tick . Ticker Pagina 30 di 34 .The measurement of movement of the price of a tradable between extreme highs and lows. who published "The Probable Error at a Mean" under that name in 1908.Measurement of the movement in a stock price. Swaps . SuperDot . a line drawn indicating the price level at which falling prices have stopped falling and have moved sideways or reversed direction. usually seen as a price chart pattern. For example. Gosset.NYSE execution technology. The New York and American stock exchanges use one.Also known as synergistic analysis .A historical price level at which falling prices have stopped falling and either moved sideways or reversed direction. Many symbols are also assigned a symbol suffix to denote special status or class.The pseudonym for Irish chemist W.Measure related to the Rsquared value and the smaller the number. and the better the regression.The price at which an exercised option delivers the underlying securities. Synergistic Market Analysis .Letter-symbol assigned to a particular security as a universal identifier. percentage price changes of less than 5% will not be measured in the swing chart.A chart that has a straight line drawn from each price extreme to the next price extreme based on a set criteria such as percentages or number of days." "Down Tick") Ticker Symbol .

Trader .Long-term debt instrument.Document giving a broker or other fiduciary the power of attorney to trade in a security for a customer. Treasury Bill . to announce an offering. Trade . Total Return . to issue and cancel certificates. Pagina 31 di 34 . Treasury stock is issued but not outstanding. Tombstone . interest and reinvested gains. government.Market in general or for a security that is characterized by a narrow spread between the bid and ask as well as a relatively narrow price range of trading.Generic term used to describe a professional stock trader of a brokerage firm or any other investor who frequently buys and sells securities in the hope of gaining from short-term price changes rather than long-term capital appreciation.Fiduciary company. stolen or destroyed certificates. Treasury Bond .symbols should not be confused with stock name abbreviations that are often used in the stock tables in newspapers. and resolve problems arising from lost. Treasury Stock .Any purchase or sale of a security. Transfer Agent .Advertisement placed in a publication of mass distribution such as The Wall Street Journal. with a maturity of one year or less. Transfer . acquisition or other matter of record affecting a class of securities of one or more issuers.Generic term used to describe a change in the registration of ownership of a security or in a client’s account. Trading Authorization .S. with a maturity of 10 years or longer. non-voting and pays no dividends. Tight Market . government. A tombstone may be placed as a matter of public record as required by law in an underwriting or in a nonrequisite circumstance where the advertiser simply uses it to boast of recent accomplishments.Annual return on an investment as measured by the sum of any appreciation plus all dividends. often a commercial bank. issued by the U.Short-term bond. merger. underwriting.S. entrusted to maintain records of stock and bond ownership. issued by the U.Stock issued by a corporation and held or owned by the corporation for its own account.

) of a company. and December. market or industry. Underwriter . Underwriting . or Nasdaq.Security which is not listed for trading on one of the New York Stock Exchange. preferred shares or other securities. referred to as undervalued stocks or that an asset is priced below its liquidation value. In finance.Shares of stock of an issuer which have been authorized but.Generic term used to describe any consistent pattern in the condition of a stock. a profit is made on the underwriting spread. Triple Witching day sometimes causes market volatility from frenetic computer or program trading. Unlisted securities normally trade over the counter and their prices are usually quoted via the OTC Bulletin Board system or in the NQB Pink Sheets. Turnaround .Investment banker. Undervalued Stocks . September. who purchases a new issue of securities from an issuer and distributes it to investors.Occurring on the third Friday of March. June. the term refers to any minimum quantity acceptable for trading. for example. American Stock Exchange. a typical unit may be comprised of one or more shares of the issuer’s common stock plus a combination of warrants. any division of a quantity accepted as a standard of measurement or exchange.In general. product line. In securities. or a measurement of sales or production according to quantity rather than dollars. Unissued Stock . Unit . the term refers to any definable segment (division. not distributed through an underwriting or other means. Triple Witching . etc. it is the date on which many options and futures contracts on indexes simultaneously expire. subsidiary.Trend .Obligation of a person or corporation not secured by any specific assets. Unsecured Debt . Pagina 32 di 34 .Act of financing a company through the sale of its securities in an initial or secondary offering. whether an individual or syndicate. or more than one class of securities traded together. or one share of stock or one bond in primary or secondary distributions of securities. In an underwriting.Situation where a company's business operations have improved after a period of decline.Opinion that a stock is priced below its perceived market value. Unlisted Security .

Wholesale .Brokerage firm whose branch offices are linked by communications systems that permit the rapid dissemination of financial information and quotations. Wall Street . commodity or market to rise or fall sharply in price within a short-term period. For example. an important source of financing for startup companies. often invested prior to a company becoming public.Term refers to a security offered for sale in advance even though it has not been issued.Generic term referring to early-stage investment capital.Characteristic of a security.Common name for the New York City financial district located in the lower portion of Manhattan (and also the name of an actual street in the area) where the New York and American stock exchanges and many brokerage firms are headquartered. accounts receivable.Funds invested in a company's cash. Pagina 33 di 34 .Slang term for a position in a security or asset where the holder may experience a loss if the security or asset is liquidated.Sudden. Volume . Volatility ." Upside Down .Up Tick . is referred to as having volatility. stocks that have split and Treasury securities are all traded on a when issued basis. When Issued . same as "Plus Tick.Purchase and sale of the same security either simultaneously or within a short period of time. (See "Retail") Windfall Profits . New issues of stocks and bonds. Wire House . oil companies and their shareholders in the 1970s earned windfall profits because of oil prices increases.Term describing a trade in a security that was executed at a higher price than the previous trade. bonds or futures contracts traded in a particular period.Total number of stock shares. inventory and other current assets.Trade in which a broker-dealer buys an over-thecounter stock from another broker-dealer. Working Capital . unexpected profit caused by events not controlled by the beneficial person or company. Wash sales taking place within 30 days of the underlying purchase do not qualify as tax losses. Wash . It is also a generic term for anything associated with investing or the stock market. Venture Capital .

Rate of return on an investment that accounts for the cash difference between a bond's acquisition cost and its maturity proceeds. Zero-Plus Tick . obligated to buy or sell the underlying security at a predetermined price by a specific date if the option is exercised. Working capital finances a company's cash conversion cycle. The resulting yield curve is considered positive if short-term rates are lower than longterm rates. as well as interest received from owning the bond. Yield .Seller of put option and call option contracts. Zero Coupon Bond .Rate of return on an investment." "Yield to Maturity") Yield Curve .Bond that makes no periodic interest payments but instead is sold at a deep discount from its face value. external sources include shortterm borrowings and equity financing not channeled into longterm assets. if short-term rates are higher.Graph showing the term structure of interest rates by plotting the yields of all bonds of the same quality with a range of maturities. Yield to Maturity . The yield curve is considered negative or inverted. Writer . Zero-Minus Tick .Sale made at a price equal to the price of the last sale but lower than the last different price.Internal sources of working capital include retained earnings and operating efficiencies. Pagina 34 di 34 . The concept is used to determine an investor's rate of return if a bond is held to its maturity date." "Dividend Yield. (See "Cash Conversion Cycle") Workout Quote .Quotation in which a brokerage firm estimates the price that it believes it can obtain if given reasonable time to enter the market and find the stock to buy or sell.Sale made at a price equal to the price of the last sale but higher than the last different price." "Nominal Yield. which is normally the case. expressed as a percentage of the current price. (See "Current Yield. Analysts study yield curves to predict the direction of interest rates.